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tv   Cavuto Coast to Coast  FOX Business  March 2, 2017 12:00pm-2:01pm EST

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last night's close. stuart: those are bad examples. ashley: shows you what can happen. >> groupon, 80% off sale. stuart: thank you, ladies and gentlemen, thanks for a great coverage. liz, ashley, peter, thank you very much. neil, it is yours. neil: something going on with snap? stuart: so i was told. neil: incredible. i was hearing your dilemma. you write letters and write notes. i write letters and notes there. are really no stocks for us. stuart: no. neil: there is a company called mitsubishi pencil. it makes pencils and pens, true. something you and i might relate to. americanç carriage company, thy make -- stuart: got it right, american carriage company makes buggy whips. that is why i invested with them a long, long time ago. neil: telling you it is diversified. you can buy its products on the internet. and there is crain stationary. the no the same crane company,
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multifaceted manufacturer. bottom line there are not many options for folks like you and me. stuart: neil, i believe i have been ambushed. it is neil: by the way, kiss your tax cut good-bye. we'll have more on that. i just love doing that. the snap ipo apparently a huge deal here. and i know my teenage sons are into this and drawing little funny faces and awe, but do you put a multibillion-dollar value for technology that can do that or glasses that can record video for 10 seconds? that is up to you. that is your call. this burgeoning audience what might be out there for young people like nicole petallides and her kids? it is what it is. a sensation today. nicole on floor of the new york stock exchange. with the very latest. hey, nicole. >> neil, unbelievable. a great ipo. you can't deny the facts. the facts are the stock is up
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47%. despite the fact there was so much caution and snap doesn't turn a profit. it is hot with the kids. you had evan spiegel, bobby murphy, the cofounders, spiegel, came, rang the opening bell. they got in a car and sat there with a book runner, benny adler to watch the developments and finally opened just after 11:00. big picture, there is a look from the spectacles, our producer courtney crawford put on the spectacles. they are saying they are a camera company. she got this with the spectacle glasses. that was right there, evan, bobby president of the new york stock exchange tom farley and his beautiful fiance, model miranda kerr. he is getting a big bonus. spiegel owns 25% of the company. billionaire at that. you had pivotal research a short time ago now putting out a cautionary note, saying analyst
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over at pivotal research saying sell, sell snapchat. put $10 price target on it. saying significantly overvalued. so there are the believers and there are those naysayers. right now it has soared. i will leave you with the spectacles so you can get a look at them. here they are. this is what the cool kids wear, neil. neil: i don't know, i don't relate. >> i'm not sure if adele has a pair. she might snapchat you. neil: that might be north of her age bracket. nicole, thank you very much. larry kaplan, digital trends editor and chief and cheryl casone. cheryl, the company itself, you're by the company, they are saying this is based on and sensation around feeding a trend, younger people. this is not the facebook crowd. this is the young, new, hip crowd, they are using this technology and spectacles and it is well worth all the fuss it is getting. that is basically their argument, right?
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>> well their argument they're a camera company. that is one of the things they announced in fallç frankly tooa lot of investors by surprise. we're not an app. we're a camera company. they want to get into drones. they invested a lot of capital into at that cycles nicole -- speck can tells that nicole show you. they lost $550 million. out here in venice beach, california. look at prospectus, evan spiegel, 26 years old cofounder, a billionaire now several times over, 680,000 a year, million dollars on just his personal security. as the book of the company open up, we care about financials, especially if you own the stock, neil, we need to know what they're making, what they're losing. right now they're losing a lot. and the culture here very secretive, very elusive. they didn't invite me to come in to use the bathroom. i have to say very secretive company. been here for two days.
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come on you know? neil: larry, when cheryl touched on this idea they're a camera company, and you know, i don't know if i would be jumping for that comparison because the market record on camera companies is not great. for example, eastman kodak comes to mind but i understand what they're trying to get here. don't associate us as fly-by-night internet social media operation but essentially is a high-tech hardware item i don't know know that sells buyers, what do you think? >> last time i was not interested in investing in kodak. if it is a camera company i'm not sure. they added 3 plus trillion dollars of market cap, it is to be expected optimism is off the smarts and everyone wants to equate this with a sign of the top of the market. one of those bellwether moments. it is really expensive company.
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20 plus times sales, twice the values facebook. it is crazy from that perspective. there is not a sign of any indication of froth in the trump trade. if anything this has nothing to do with the trump trade. the trump trade is about the old economy, industrials, financials. this is about the real economy. this is one-off deal. neil: trump trade, market run-up, has been the wind at the back of this company and these young guys who founded it. one thing i'm getting from this, jeremy, jeremy kaplan, from digital trends, the founders, as young as they are tried to do their level best to avoid what happened to facebook a strong launch, tumult, people bought later, facebook was off to the races. quarter of the so-called float and shares available to the public is locked up for a year including for the founders themselves if i understand this correctly e they can't go cash in and cash out. will that make a difference
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prevent potentially another initial offering like facebook any stress facebook bounced back from a rocky beginning but what do you make of that? >> facebook a fascinating comparison. i'm glad you brought it up. let's talk about the two companies from a technology perspective. that is what i come at. you guys can debate the financial merits of this technology ipo. from a technology perspective there is nothing there. they don't have any special proprietary something that other people can't replicate. see a company like facebook which ownsç instagram, making e exact same moves snapchat is making. instagram is just as successful, if not more than successful. what are you buying when you get the ipo, getting technology of this company, smarts of this company, honestly i'm not super convinced there is a lot behind it. to me that would be something that people should look at when looking investing in this company, what are you actually getting here? neil: larry, to that point, you mentioned sort of the trump trade effect going on and enormous run-up we've seen and
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quick sprint over 21,000 yesterday and the markets are surprisingly holding their own, that in such an environment, froth is always i understand in the eyes of the beholder, but things like this are pa of the environment that you get in a marketrun up. i'm not saying that doesn't mean the market run-up is not justified or can go further but you see a lot of hysteria around a single issue or much attention to a single theme that reverses itself. what do you think? >> look i think it does speak to the fact there is so much money tied up in these pre-ipo consumer technology names struggling to go public and they don't make money. investors are not excited about buying them. a lot of money went into the company because interest rates are so low. you could argue the money is there because of fed policy. if we had more normalized economy, maybe like we see
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today, confidence, people investing in plant and equipment, that kind of economy would prevent excess dollars going. >> private deals into companies that will never make money. so i think the interesting thing investors should be more concerned about things like 20 trillion-dollar that would weigh on the trump trade or perhaps european elections then a one off, megacap unprofitable company that could be a sign of froth in the consumer to space but says nothing about the real economy. neil: cheryl, if you're still with me out there in venice beach, i had heard, i read a story, maybe i actually heard it from you, so i apologize, that for a lot of workers who could participate in they too have to hang on to the stock for at least a year but the company is providing loans based on the value of the stock, if they want. in other words up front money to reflect whatever they got today. and to keep them happy and obviously to keep them there at the company. is there any truth to that? reporter: yeah, i heard that as well but you are correct that a
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quarter of the shares are locked up. we should say in the filing we found out that evan spiegel and bobby murphy are planning to sell a few million shares each. that was, they were each selling 16 million shares. but that was in the ipo prospectus. netted them each $272 million. yeah, a quarter of stock is locked up. the lock-up period is one year. that is to encourage, you don't want, they don't want volatility in the stock to stop that selling. nicole mentioned pivotal research, $10 call. i ran into a trader from the new york stock exchange, believe it or not he is here in venice with his son. he is on vacation, came by, there is lot of interesting in this but a lot is flipping interest in the snap stock itself from his colleagues. he was on the phone to new york with me listening in frankly give me some idea what to expect today. i also want to touch on something with lance and technology ipo debut. i was looking the day facebookç opened back in 2012. it gained .61% that day.
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guess what twitter did the day it eye poeed? it gained 72% that day. you can't gauge what it will do tomorrow based on today. it is fun, excited. spectacles are cute people are walking around with them here at venice beach. you have to question the long-term strategy of this company. neil: you never call the exact moment like you say, but you like to see how it sorts out beyond the euphoria, it will be hard to get shares anyway even in the after-market for the time-being. cheryl, thank you very much. jeremy i want to thank you as well. > politicalevelopment could weigh on the dow, growing calls among two prominent democratic leaders for jeff sessions attorney general, to resign. a lot of you would say how would that possibly affect the markets? because a lot of the momentum that we've seen for donald trump and his an aggressive stance to cut taxes, regulations all that,
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that could be stymied hire. this could be political scandal time whether you agree it is warranted or not, it could divide people's attentions and slow that momentum. wall street doesn't like that kind of stuff. i'm not saying that stuff big sell orders are made but you cool it until you can sort it out. more after this. when you have $4.95 online u.s. equity trades...
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neil: i think this is the real reason why dow is getting clobberedded. caterpillar down 3%. news of a federal investigation. apparently federal agents searched three caterpillar facilities and they went right to the company's headquarters in illinois. agents from the irs and federal
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deposit insurance corporation, u.s. department of commerce, participating in this joint raid, search, whatever you want to call it, wasn't immediately clear what the agents were seeking or what they were looking for in general, but a spokesperson for the u.s. attorney's office said the agents were at caterpillar offices in peoria, east peoria, and morton, illinois. no one was arrested in this. we have a quote from caterpillar that it is cooperating. law enforcement are present at various peoria area facilities executing a search warrant. she wouldn't comment further. ceo had on again, off again meeting with the president of the united states, talking about manufacturing interests in the united states, how to expand hiring in the united states and offering ideas to the president among many other big-name ceos, manufacturing ceos to help the president address that. this was the latest gathering of them, including the caterpillar
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ceo and a number of u.s. multinationals. i believe that is ken frazier right to the left of the president, to the right of your screen of merck. suffice it to say this comes at a time everything seemed to be firing on all cylinders for u.s. multinational manufacturers. this could be anomaly, a stand-alone event. we're watching it though, but that would explain the drop in the dow and desproportional weighting of caterpillar. so we'll keep an eye on it. meanwhile you heard back and forth how chuck schumer and nancy pelosi are calling for attorney general jeff sessions that they claim he lied when he said he was not meeting with russian officials prior to taking office. the fact of the matter he did a number of times, but many are arguing, then senator's staff is arguing he did this in his capacity as a member of the united states senate and a member of the intelligence
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committee and no other way to hide anything from the investigators. whatever it is, it is now caused a big hoopla. senate intelligence committee member james lankford of oklahoma joining us now. senator, they're already saying resign, attorney he yep. what did you make of that? >> before he was ever active doing anything, it was recuse himself. before he was put in place he is a racist, should never be there. there this is long string of arguments against jeff sessions. they accuse him being partial to the president, which every attorney general is selected by president. of course is partial to the president. so this is all smoke and mirrors in the process of this. we're just trying to figure out what actually happened. let's get facts out, deal with facts rather than random accusations. neil: what we do know is that jeff sessions met with the russian ambassador on at least two occasions in july, and in september. i believe in the september meeting, sir, it was a
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one-on-one meeting in his office. now, when he was asked about this he seemed to, no, didn't meet with them at all. >> right. neil: now that is always in the eyes of the beholder. i seen and heard this tape back number of times, the implication was he was doing something nefarious at time people were raising a russian role in hacking into our election and even prior to the election. should he have been more clear then? do you think that he wouldn't remember, at least one-on-one meeting with the russian ambassador in his office? >> so, take it in order there. the july meeting was in a meeting at the republican national convention at heritage foundation event. lots of ambassadors were there. for him to bump into ambassador of russia is very, very doubtful. neil: one-on-one in his office. >> correct the september meeting when he made the statement he made was asked in context if he had communications with russia? context trying to reach out about campaign things, trying to
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reach out to that. he responded, his staff should have immediately picked up hey in your schedule you did have several months ago the russian ambassador dropped by. yes, they should have corrected that. is that area we should ask questions about? absolutely ask questions about. calling for resignation of attorney general over that, this would be something akin to all the conversation with loretta lynch when she met with president clinton on the tarmac as hillary clinton and all the investigations were going on there from the fbi. at that time loretta lynch didn't recuse herself or resign at that point. clearly this is not rise to that level. this is something the information should come out on but seems to be dramatic overreaction in trying to paint every person in the trump administration as secret kgb out there and coordinate. the facts do not support that. everybody needs to step back off the ledge and keep this in context. i met with the ambassadors this week. that is what you do as united states senator.
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you meet and you need to get the facts out there but don't overreact. neil: i know what you shea good for goose, good for gander, fair reverse political play is what is, one thing that concerns me about and you're closer and know the attorney general far better than i, you know this would come up at a confirmation hearing, any communications you would have had with the russians because that was a very big theme in his confirmation hearings among other matters. >> right. neil: so you would have checked, hey, guice, did i ever meet with them, talk to them, call them, see them? and it would have come up, and just say was there a sense that it could have blown up in his face if he said right then and there, oh, yeah, i had the russian ambassador right in my office what do you think? >> again i come back to staff should have prepared him. not throwing staff under the bus. they should have gone back to it. he should have have looked to come back.
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different for it to come out now. quite frankly they should have picked it up during the confirmation hearings. should have checked his schedule. neil: sir, again i hear what the other side is saying. go overboard or execute the guy. it gets nutty but one thing i think, clarion call for special prosecutor. >> right. neil: you heard this bandied about it might be easiest way to get this resolved one way or the other or others say it will be a political witch-hunt. but do you worry that it will build to the point that maybe the better part of valor just get a prosecutor and, there is nothing there, there is nothing there? >> right. neil: competing committees going after this is just redundant and maybe needless? >> it is needless and redundant. so the senate intelligence committee which i serve on is working very bipartisan in our own investigation. house intelligence committee is working through that any investigation like this you deal can with very top secret documents and clearances. if you spin up a new committee, month to spin up and get
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clearances to do it, you have to start from ground zero, getting relationships and documents. that is a couple of year process where we can do it bipartisan manner right now. in fact already have been on it for month. so the report when it comes out will be a bipartisan report. work of fbi is non-partisan work on this that is already happening right now. what the fbi will do is pull together investigation, turn it over to doj. doj has to make an investigation and determination from there. you call for a special prosecutor right now, you're assuming already there is something to prosecute. fbi is not even done with the investigation. we're not done with the investigation. neil: all right. i don't know the process. confusing to me. senator lankford, thank you very much. good seeing. >> you thank you. neil: two quick news items. caterpillar is confirming the presence of law enforcement officials at its illinois offices. not calling it a raid but given a head's up that authorities had a warrant to search the premises and gather documents. as soon as that word hit, the stock started tanking.
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of course since it is a dow component, disproportionally weighing on dow. getting news out of boeing, despite its commitment to honor president trump with a cheaper, more affordable air force one and the fact that it might be looking at more competitively priced air force fighter jet contracts, it is laying off 1500 workers. this might have been in the works for some time, but boeing is laying off 1500 workers. we'll have more after this. oh. what's with the dog-sized horse? i'm crazy stressed trying to figure out this complex trade so i brought in my comfort pony, warren, to help me deal. isn't that right warren? well, you could get support from thinkorswim's in-app chat. it lets you chat and share your screen directly with a live person right from the app, so you don't need a comfort pony. oh, so what about my motivational meerkat? in-app chat on thinkorswim. only at td ameritrade.
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neil: by the way, the "usa today" is reporting that the white house says it did not know about jeff sessions meetings with the russian ambassador. of course these are meetings that would have occurred prior to him becoming the attorney general and presumably as a senator. but the white house is saying again, this is coming from "usa today," that they were not aware of this.
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we shall see. all right, meanwhile vice president pence, he is in ohio, pushing for a big reform to obamacare. remember the timeline on this is crucial because they want to get that repeal and replacement done, which would clear the way as treasury secretary steve mnuchin was reminding me yesterday in washington for the tax cut in washington. a lot of things hinge on all of the above. "real clear politics" associate editor, a.b. stoddard, terry jeffrey, cns news.com editor. ab, what the vice president is saying we're closer than you think. this is going to happen, essentially don't worry. but i hear a lot of conservatives saying i don't like what we've been offered and we are worrying because we don't assume we're going to go along with this. there is not a lot of wiggle room on this, right? >> right. the first you heard president trump say several times both
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before and after his inauguration they were in the final drafting stages and something was really about to be revealed and that wasn't true. there are now proposals, as he mentioned circulating and people are very divided in the republican conference about the proposals. so while you are right, the law, the program is in a death spiral, more insurance companies are leaving it, the coverage is terrible, it is very expensive and people left in the pool are very sick and becoming more expensive to cover, with fewer choices an options. so it is in spiral. that's pressure on the party to come up with their new overhaul. but watch what is going on here, tax credits with first circulated draft, is now apparently out of contention were teamed new entitlement by the fiscal hawks in the freedom caucus in the house. that is really, so essential not
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only because of the political pressure at the town halls about overhauling obamacare, but the actual timing of it, sort of detonating like a bomb, is really pressuring them to come up with this. they need a baseline, sort of legislatively to move on to tax reform and there is no consensus there either. as you know treasury secretary steve mnuchin putting pressure on them signing a law in august in five months is almost crazy. we hear he and president trump are opposed to border adjustment tax. so they're no closer on that either. neil: terry, when you go back to obamacare and i'm glad ab mentioned it, doing nothing, it is falling of its own weight, the fact the matter, one or both parties have to do something because it is not sustainable. good talk of 20 million people getting insurance, wonderful coverage for preexisting conditions. great. keeping your kids on the policy, assuming you like them a little
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longer, fantastic. the reality is that is not sustainable mathematically. the devil is in the details how to correct that and adjust for that. herein lies the rub ab touched on. i will talk to rand paul later today on my fox news show, he is leading the group, no credits, to ab's point. don't go for making a colossal government program less colossal and say you hit a home run so there are problems there? >> neil, i think senator paul is right, and the reason obamacare was unsustainable at its core, it was on trajectory towards socialized medicine. it increased government control of the health care system and government funding of the health care system. people on medicaid went up, by 16 million people, up to 74 million in the first three years of obamacare. we have, two years ago we had 118 million people on government health insurance plans, 37% of the population.
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so what the republicans need to look at is not keeping the medicaid expansion in place. not coming up with a new subsidy like a refunnable tax credit. they need to roll the government back out of the health care sim and return power to the people. and right now doesn't sound like that is what they're interested in doing. look they're politically afraid rolling back what is at the bottom, the worst aspect of obamacare. neil: guys, thank you very much. a lot of breaking news here. i apologize for the brevity here. we're following up on boeing layoffs. 1500 of them. we're trying to ascertain whether they were prebaked in despite the company's commitment with the president a little more than couple weeks ago to boost its u.s. operations, including those in the south. of course the president going there where air force one and other jets are made, including the latest versions of the dreamliner coming out. separately we're getting more details on the caterpillar raid might be too strong. authorities from the government, from the internnal revenue
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service, from the fib -- fbi hitting illinois offices there. why, what is going on? it is hurting the dow. caterpillar a member the dow which is off 65 points at this point. confident in our investment experience around the world. call us or your advisor... t. rowe price. invest with confidence. why pause a spontaneous moment? cialis for daily use treats ed and the urinary symptoms of bph. tell your doctor about your medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, or adempas® for pulmonary hypertension, as this may cause an unsafe drop in blood pressure. do not drink alcohol in excess. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have a sudden decrease or loss of hearing or vision, or an allergic reaction, stop taking cialis and get medical help right away. ask your doctor about cialis.
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neil: so glad i have my buddy charlie gasparino with us. i want to bring you up-to-date on this phenomena n i don't recall anything like this in a while, where the company's
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headquarters are searched by federal agents representing the irs, the federal deposit insurance corporation and u.s. department of commerce, a joint search of the company's facilities in and around peoria illinois and, according to a spokesman for the u.s. attorney's office for central district of illinois, all working in unison. now the company itself since issued a statement, this is coming from caterpillar, that law enforcement is present in various area caterpillar facility, executing a search warrant. caterpillar is cooperating. she wouldn't go on much further. caterpillar, a dow component. i do want you to note. that is the point we got wind of the search. of course the stock started tanking. down, what is it down about 4 1/2%. it had been down close to 5%. it hasn't really move moved. the point this is unexpected development. when this kind of stuff happens we feel we should step back to
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help you get a sense what it means when these guys are in concert with each other and obviously they were executing a warrant together. what do you make of it? >> i would say this i've seen cases where a bunch of agencies knocked down doors of companies, stock tanked and nothing is there. neil: i remember tyco they were doing that, right? >> right. listen i might even argue, kozlowski didn't need to get roiled, former ceo, what went down which was kind of minuscule stuff compared to enron and major corporate implosions. neil: right. >> i would say this, the markets always react to these sort of headlines. again i know a hedge fund that was put out of business based on a headline of fbi going in and -- neil: you remember rudy giuliani, would raid offices and greg guys out and a lot of them were completely vindicated. >> some were, some were not. neil: that is always the risk. >> this is the thing wh businesses.
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what is weird, the breadth of the investigation. you have the fdic what the hell are they doing there? right? neil: someone, seed their fund allotment? >> counterargument if you know anything about these sort of government agency, their powers have expanded greatly on the investigative side. like the pose office has major -- post office has major investigative units. neil: caterpillar, it is a huge conglomerate. the one the of world's largest manufacturer of truck and equipment. >> the federal reserve has investigative unit. this is post-dodd-frank and 2008 financial crisis. it is not totally unusual that the fdic investigators would go into a nonbank and -- neil: here is what got my curiosity going, when it was jointly done. it is usually not totally out of the question to hear the irs getting involved but the coordination here. do you know or remember cases like that? >> it does happen. here's why it happens.
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all these investigative units, all these state agencies that provided a regulatory function post-2008 came out and had an investigative function and it's different. new york state has a banking department, always has. it now has an a banking investigator that goes after banks and can charge them. and i think, i don't know if it can file criminal charges but i believe they can file civil charges. new york state is like an addendum to the new york state attorney general's office. the governor's office actually has this investigative unit. all these agencies that he provided front-line regulation, of banks and companies now provide, not just regulation but investigative services and they, they're all like hyped up to catch the next bad guy, and like i said -- neil: to your point, mentioned there might not be a bad guy. these were coordinated searches at caterpillar's three facilities in and around peoria
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illinois. we were trying to catch video of the company's ceo one of those meeting with the president among the roundtable, multinational representatives of corporate america to make their pitch for, in this case they were perfectly fine with the border tax because it would benefit them appreciably. the president was weighing their concerns a little more than a week later from this meeting. retail executives concerns, but again he had a lot of ceo powwows which the head of caterpillar has been a guest. that doesn't mean anything. this investigation and searching for documentation doesn't mean anything. remember caterpillar sells a lot of equipment around the world. so this sort of thing could have to do with that. we just don't know. >> that is where it gets, you start, this is purely surmise and hypothetical, you know, people always criticize journalists when they surmise in the absence of information but let's be clear, that's what people do.
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neil: never with exxonmobil. when doing business with iran when sanctions were in place. yeah, i was through my subsidiary. >> that could be it. neil: you don't know. >> so many countries on the sanction lists and no-fly zones so to speak with trade, that you know, it could be russia they're dealing with. there are still sanctions against russian companies. neil: right. most of the prominent ones we've had, taken actions of companies over last few years have did the with those who violated sank shuns. >> yes. neil: or the trouble, i think something rex tillerson mentioned in his confirmation hearings, those sanctions were imposed when we were already doing business there. so we had to disentangle ourselves. he was referring to the russia at the time. >> intent matters. gets back to the whole jeff sessions thing. did jeff sessions say hello to russian ambassador whoever this guy was or have a drink or a real conversation with him? the intent matters in terms of the context whether he lied to
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congress. the same here, was the intension to violate sanctions? was it mistake because of a gray area? this is obviously we're not -- this company is a big multinational company. they generally don't destroy companies like this. it has to be really bad. what are the facilities, that's what we have to find out. whether they're corporate offices. neil: i don't know. >> whether they are tractor plant. neil: i ask the questions. >> okay. by the way -- neil: we don't have time to get into this. >> you know what this is? neil: yes i do. >> snapchat thing. neil: 10 seconds of it. record your final 10 seconds on the air. we'll have more right after this. vice president, will be addressing obamacare. so much more after this. usaa gives me the peace of mind and the security just like the marines did. the process through usaa is so effortless, that you feel like you're a part of the family. i love that i can pass the membership to my children. we're the williams family, and we're usaa members for life. i'm raph. my name is anne.
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i'm one of the real live attorneys you can talk to through legalzoom. don't let unanswered legal questions hold you up, because we're here, we're here, and we've got your back. legalzoom. legal help is here. legal help is here. [phhello.ng] hi, it's anne from edward jones. i'm glad i caught you. well i'm just leaving the office so for once i've got plenty of time. what's going on? so those financial regulations being talked about? they could affect your accounts, so let's get together and talk, and make sure everything's clear. thanks. yeah. that would be great. we've grown to over $900 billion in assets under care... by being proactive, not reactive. it's how edward jones makes sense of investing.
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neil: we're monitoring this. house congressman devin nunes, talking about conversations between jeff sessions one in his office with russian ambassador to the united states. coveringses he said i never had. attorney general up for the job, being asked for what role if any he and others had chatting with russians before the election. he was talking about his capacity as a surrogate for the trump campaign, separately, many of his advocates saying that jeff sessions he was speaking on behalf of the a key foreign policy figure in the united states senate, again not as surrogate to the campaign. essentially what chairman nunes is saying i got to look into this even though democrats, chuck schumer and nancy pelosi already called for the attorney general's resignation, he is more or less saying let's not jump to conclusions here, looking at this, assessing it, too soon to make any snap judgments later on.
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we'll hear president trump talking about boosting our military presence and trying to spend money exactly where when it comes to military spending in virginia. right now looking at what is going on in ohio with the vice president. he will be addressing obamacare and, how we make it better. and more effective. a lot easier said than done. suzanne sommers of all people is here to give us her perspective on all that. she is looking into doing healthful things and including whatever is decided. suzanne, very food to have you. >> so nice to see you, i'm so glad you're well. neil: thank you very much. thank you for your kindness when i was out. appreciate that. suzanne, i know you're a big believer, there is lot we can do to prevent a lot of bad stuff that happens. sure enough, seven out of 10 cancers are preventable if caught early, to say nothing of heart matters and the like but we run into the expense after
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the fact, right? you know republicans are trying to repeal and replace. what do you want to see them replace? what do you want to see them get right? >> you know i'm certainly not an expert in that arena, because i've written, i finished my 27th book, i'm irish, we either drink or write. i do both. [laughter] by the way, i'm a little upset this morning because on fox it is always all about the legs. so i went out brought a brand knew pair of shoes, because i can't even show my shoes i could amortize them. but anyway -- neil: i did that one time but they didn't get one shot of my legs, not one. >> chartreuse swayed. neil: delicious. >> and, anyway, you know what i write about? you do know what i write about. we kind of butt heads in our friendly way, is the option. when i first started writing books about alternative,
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functional, natural medicine, first of all i took a lot of heat. i still take a lot of heat. neil: i remember. >> a new way is always, like the three stages of truth. first ridicule, second is violently opposed. we haven't gotten to self-he acceptance yet. when i first started writing i could only 30, 35 doctors in the entire united states who were dealing in this new approach to medicine. i asked one of the doctors i interviewed how did it get like this? he said at the turn of the century named abe program flexor, he was hired by two rich he's families, carnegies and rockefellers, to offer funding in perpetuity at institutions if they teach allopathic, here is the drug, here is the drug for that system. it is incredible business model for two people, two companies that owned pharmaceutical
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companies but that's when all the pathics got put to the side. chiropractic, homeopathic, and what i write about we might look over here, today, starting with 30 doctors in this country. now there are doctors conventions for alternative. there are hundreds of if not thousands at this point. there are so many i can't put them in the backs of my book anymore. i had to create a website, foreverhealth.com to find that kind of doctor. i don't take pharmaceutical drugs. i'm not anti-pharmaceutical. when you need them, when you need them they're a godsend. neil: last time you were with me, a lot of people love you, i have to take these drugs for this or that, whatever. suzanne sommers telling me get off the art medication, get off chemo medicine, high blood pressure medicine, what do you say to them. >> no, i'm say, i'm offering another option. for me with my cancer i went
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natural. that was 20 years ago. i'm still here. i'm so healthy. i switched biod hormones. neil: was your oncologist angry? >> my oncologist said you are going to die. i have to follow my gut. i feel i will die if i do what you say. neil: it worked for you. i worry about the people listening to this, worship you, you're an iconic figure, we're for suzanne i will get off all this stuff. >> i never give advice. i start everything if it were me, what i did. these are the things i have done. neil: i want to be clear, telling that to the stage 3 or 4 cancer patient or someone going under the knife. >> no, no, no. neil: fine. >> with your heart, i was thinking about you a lot with your heart when you were going through that and one of doctors i interviewed, incredible doctor you should interview, dr. steven sinatra, one of the leading
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integrativcardiologists in this country, at least one of the few and he said i can count on one hand the amount of patients i have on statins. he said, i don't care about cholesterol. he wrote a book called the cholesterol myth. i have guys on the table, 350-pound, i expect to go in there, their cholesterol is off the charts, i see nothing. on other side i have had guys who have cholesterols around 140, i open them up they're riddled with heart disease. i kept looking into the cholesterol thing maybe it is not cholesterol. that is why he wrote the book. all i look at, i don't care what the hdl is, all i look at is ldl. you need ldl, because the ldl creates synapse between the cells. that is how they talk with one another. if they don't have the bridge they're in different rooms. they can't communicate. he said, i look at the second component of ldl.
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capital l, small p, little a. he said if that is high, you're screwed. that is like little razor blades on inside of the arteries. so when this book came out that i wrote last year, toxic. neil: we're losing time. you're big thing, a lot of people being healthful? >> questioners i discovered with heart thing, food pyramid, i don't know if you heard about it. my was made up of prime rib and napoleons. they said, neil you have to vary that up. >> you always had, got everything straight except you had your food pyramid upside down. neil: exactly. >> the reason i want to talk to you today with this new secretary price, when he get, when everything gets settled and they're repealing obamacare and they want to set a new plan in motion, i want to meet with him to make provisions for those of us and there are thousands an thousands of us, who want to take the natural option.
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neil: okay. >> and have that covered by insurance also because here is what i hear all the time, neil. i feel bad. women come up to me say, well, glad you feel good on those hormones. i can't afford them because my insurance won't pay for them. neil: ah. >> in europe, particularly in france, i have a family, half of them are french over there. they offer homeopathic first in europe. if natural supplements and natural protocols don't work, then they go allopathic. neil: might be a way to go. might be a way to go. >> might be a way to go. neil: all right. >> then you would have happier women in this country if they were all as hormonally balanced as i am. every day is a good one. neil: every day is a good one. we want women to be happy. suzanne sommers. always great to see you. >> good to see you. neil: she looks terrific. the whole age thing. i don't know how that is possible. vice president coming to ohio. president of the united states
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at newport news, virginia. we have snap on fire. and kids who are billionaire. i don't get it.
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..
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neil: albright. on the left of your screen, the vice president of the united states is in ohio and we are hearing donald trump in virginia. shall we say he's lately busy white house agenda today. peter barnes, what is up here? reporter: neil, looks like everything in the giant trump agenda, that things the president wants to push in the congress, he talked about in the address this week. a good old traffic jam forming up on capitol hill. you had steve mnuchin pushing the action on tax reform yesterday saying it should be done by august at the question about border taxes and other
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difficult details. mnuchin saying the president wants a trillion dollar infrastructure plan that he talked about this here as well. the president himself last week said that to get obama carry peeler played them before tax reform. that's a speaker brightness talking about about this morning. listen. >> we are all looking up the same piece of paper, the same plan. we are in thing. the house, senate and trump administration because this was collapsing. you can't just repeal it. you have to repeal and replace of the system that actually works. that is exactly what we are doing. reporter: house democrats say there is a train wreck coming. >> no jobs plan, no infrastructure plan, no plans to replace the affordable care act. no attempt to outline immigration reform plan. the list goes on and on.
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traded the president has 2018 budget is going to drop $4 trillion in the next month or so with big cuts in other places. republicans don't like. adding interesting. tree into spending they don't like either. peter barnes in the thank you very much. meanwhile, if you're lucky enough to t into snapshot, to nicole ted alleviates at the very latest on the floor of the new york stock exchange. hey, nicole. >> that's right. you can get it at a cool 48% for snapchat, snap incorporated. we have video using the spectacle glasses they are trying to be none of the camera company rather than social media. we actually took video of the opening bell right there in the traffic that went on. it was very exciting.
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the cofounders at this point, evans teaco and bobby murphy are worth over 5 billion h. spiegel has 25% of the total shares outstanding and of course you can see how much they are each worth over $5 billion. they have almost 90% of the voting rights. while everybody loves snapchat, my kids love it, the question is what are the rates? pivotal research but i thought this morning putting a $10 price target. twenty-five dollars a $10 price target is a big couch. they are worried about the heightened uncertainty, competitive environment, flowing user growth. they take over 80% after in supreme story came out the latest quarter. they didn't see that in the lack of a track record. then you can compare facebook resist twitter versus mac chat on their ipo. it turned out the monthly active users with about 300 million facebook at 845 million.
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about the new course we are seeing that does not start a profit. take a look at facebook shares. nobody worries about facebook because the stocks at an all-time high again at 13782. that was the highest rate over the last 52 weeks of investors owning 25%. not too shabby. >> not too shabby at all. multi-billionaires. nicole petallides commit thank you area, very much. everything i say is that out of jealousy and tom price now introducing the vice president and state. i want to listen to him because that hhs that the dog dirt and he is a doctor is completely over obamacare and effort is to repeal and replace. grandpa among the critics say whatever the administration is cooking not if the leaders in the party with him. he doesn't like the idea of tax credits to date to get a lot of
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people into the program. that is sort of like obamacare. let's listen to tom price and what the administration needs to do. >> you heard the president say in his speech on tuesday night that he is making repeal of obamacare a top priority for this administration and for the congress of the night days. they talked about making search and -- you can applaud that if you like. [applause] they talked about making certain we have flexibility in the system, that we do transition from the current system we have to be much more patience than a system in a responsible way. purchased across straight lines, and make sure we address drug crisis and provide individuals that the ability to be able to a lawsuit abuse reform so we don't waste incredible amounts of money on the practice of defensive medicine. we are going to have patient centered solutions.
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patient centered solutions that lower costs and provide real access to care and protect people with preexisting conditions. it may make it very clear. the president is very animated about this and has a huge passion for this. note that it is our goal to make ceain that no one falls through the cracks in health care coverage in this country. [applause] the vice president is plain and not solely vital and virtual to make sure this has been a better direction and i know for a fact he says the guy to do it. we had the privilege of working together in united states house of representatives for a number of years. but both are powerless to share the conservative policy group, public and that a committee at different times when we served together. what we did in that group was spent a lot of time talking about solutions. positive solutions. the area pulp or i mention
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patient centered solutions. patients and families and doctors making medical decisions and not washington d.c., which is absolutely unfair. [applause] so what are the principles we bring together to accomplish that? you honor them all. regardless of your ideological strife. they want a system affordable for everybody come a system accessible for everybody. we want a system of the highest quality. we want a system that make certain we empower patients through transparency and accountability. that's what a patient centered system looks like. that's not the system you see frankly anywhere across the country. washington has gotten in the way. i don't know if you seen this, but the individual premium increases have been phenomenal over the past three or four years. for small businesses, virtually the same. ohio is home to incredible, incredible health services.
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america's finest hospitals, many of them right here. university of cincinnati medical center and the cleveland clinic. it ensures come individuals are oftentimes unable to access care in those facilities because of rules put in place. that's wrong. we can afford the system then it's time to fix it now. [applause] once again, i am so humbled by the confidence of the president of the united states to serve in his capacity as secretary of health and human services. i want to assure you he understands and has a passion for fixing this challenge. as part of the process we listen to folks across this great country. vice president and i spent time listening to small business owners from around this area paper peeling obamacare will help businesses save on costs so they can do what they do best which is to create jobs and
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innovate. that's why president trump and vice president pants and the rest of our team are working every day on two key promises coming to repeal obamacare and to make america great again. [applause] please join men welcoming the vice president of the united states, mike pence. [cheers and applause] >> hello, ohio. thank you, secretary price for that kind introduction. that is the second best speech i've stood behind all week. would you give him another round of applause? that was announced in a presentation. [applause] by the way come it feels great to see secretary price. our country is truly fortunate.
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truly fortunate to have a leader of his caliber and conviction, and a physician, legislator, someone who understands state government, the national government now is the secretary of the department of health and human services. and he's going to make a great difference in the life of our nation. it's a great privilege to be back in cincinnati. it truly is. last fall, thanks to all of you, thinks your hard work on the support and prayers, ohio voted to make donald trump the 45th president of the united states of america and i'm here to say thanks. [applause] it was quite a campaign. and it's already been quite an administration. how many of you watch his address to congress on tuesday night? but you thought a couple nights
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ago is literally what i see every day in the west wing. thomas hawk to miss, boundless energy and an unshakable belief in the american people and in the capacity of all of you to make america great again. [applause] under president trump's leadership, we are already making america great again and it is deeply humbling. for the small convoy across the border in southern indiana, the opportunity to serve as vice president of the united states of america. i like to thank you on behalf of my family for the privileges. [applause] for the first time in a long time, i said earlier this week we've got a president with broad shoulders and a big heart. it's an honor to serve at them every day. speaking of which, the president did ask me to come here today to express his heartfelt thanks. america's small businesses and all the people that were with them for some of our biggest
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supporters it from the bottom of my heart and on behalf of president donald trump, thank you to the small business owners and employees who are the force of the economy here in ohio and i'll across america. [applause] thank you for coming out today. thanks to all the small business owners with us including of course dan ragan old and for a new essay. what a great team. [applause] i enjoyed our discussion earlier today. i truly did and i appreciate your candid feet back about what her administration can do to help businesses and employees just like yours. the tutorial on frame making. for those of you who may see it on the news tonight, i made a little more coaching. how about a big round of applause for this old craftsmen and women who make for a new
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essay incredible success story. they're good. the hard-working men and women who make america the envy of the world. the back bone of our economy and the president and i are grateful. inspired by all you do and know we are working everyday tirelessly on your behalf. a true american success story. a family-owned business grown from a small operation everything we see around us today. that only happens which are doing right and in the right way. frame u.s.a. you need a reputation of quality service and products. let me also thank you for your charitable work. it's a model for all to see every month you cut into your bottom line to help those in need and your generosity inspires me. i know i'm not alone.
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i know with confidence that your community from your country benefited by all that you do. i want you to now, president trump is all of your biggest fans. donald trump is president of the united states is the best red america's small business will ever have. [applause] you know, the truth is the president and i both grew up in small family-owned businesses geared by famous in the gas station business in columbus, indiana. president trump grew up in a family of builders and for a man followed a career into public life and public service. president trump who called himself a kid from queens ended up deciding he would follow in his father's foot got to go to manhattan island. i always tell people other than a whole lot of zeroes, president trump and i have a whole lot in common. i mean, a lot of zeroes.
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and really, it's a belief in the american dream because we both lived it. we've both seen it in our familiesliving it today. here commitment in his speech to congress on thursday night. the president does small business at the entrance of our economy and as the president said, we are going to restart the engine to create jobs and prosperity and growth as never before. [applause] growing up in that small business family in columbus, indiana, an hour and half away from your attempted to just talk in the car and go visit home. the world knows the president grew up in a small business. we both know the sacrifices that are required. the long hours, the hard work. we both know the fundamental truth of our economy. and small businesses strong, america is strong.
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[applause] rest assured president trump and i want to help you become stronger than every before. remember what the president said on the campaign trail. he promised to enact a three-part agenda through ohio. jobs, jobs and jobs they we've gone to work on that from the day after the election and it's already made a difference. [applause] i like to say we are in the promise keeping business and president trump is keeping his word. on day one we went right to work on doing job killing policies and executive orders for the last eight years to get the economy moving again. and one of his first acts on the job after years of delight, he authorized the keystone and decoder pipeline to expand our energy infrastructure and create thousands of jobs. besides legislation to roll back ams of red tape and start every agency, department in washington d.c. to find two regulations to give it a before issuing any new regulations on businesses in america.
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[applause] and he's taken decisive action to end illegal immigration, strengthen our borders and uphold the immigration laws of this country. [applause] businesses just like this one here today are already reacting to president trounced by american and higher american vision of optimism in our country. you heard him talk about it the other night from gm to u.s. steel to ibm in so many others, businesses announcing they are keeping jobs here, creating new ones as ford motor co. chief executive put it that made his announcement or canceling a plant in mexico and would build a plant in michigan. they set up as a vote of confidence in president trump and his agenda to make america great again. [applause] we are just getting started. in his address to congress, the president laid out the biggest,
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boldest best agenda i've ever seen in my lifetime. we are going to pass it from top to bottom with your support. today i have good news. the obamacare nightmare is about to be over. [applause] despite the best efforts of some activists around the country, the american people know the truth. obamacare has failed and obamacare must go. [applause] the fieldbus crippling the american economy and putting an enormous weight on american families. talk about your fake news. look at all the broken promises they made about obamacare. you remember that? they told us at the cost of health insurance would go down. not true. they told us feel like your doctor you can keep them. remember that one? not true. if you like your health than you can keep it. not true. now we know the truth and it's
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heartbreaking. americans are paying $3000 more a year on average for their health insurance. last year alone, premiums skyrocketed by a breathtaking 25% in millions of americans have lost their plans and doctors. many of you have felt obama cares failures firsthand. it's a job killing everybody today knows it. the last two years has been hard not to get ahead and obama carries only made it harder. we just heard about it talking to small business owners at a roundtable of stairs. health care costs skyrocketed here by 20% in the last year alone and everyone here is struggling to keep up. people might stop and say if the company is insurance premiums go up, how does that affect me? the reality is the bottom line is the bottom-line effects of people people that work at companies. i just heard upstairs about hard choices the companies had to make. one manufacturer with 18 employees all of them is
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appreciated with three employees go. because of the rising cost of health insurance. these are people that worked for me for years so i wanted to keep on and keep them part of our team. they lost them because of the rising cost of insurance. the endless price hikes amid the aleutian regulations in time and money better spent growing businesses in benefiting workers. every of the burden grows and so do the hard choices that businesses have had to make. plenty of businesses in ohio in the country are feeling the same squeeze. obamacare wing done our job creators and countries future. that's why president donald trump said we are going to repeal obamacare once and for all. we are going to eliminate its mandates, taxes, and intrusion into businesses and lives. we are going to replace obamacare is something that actually works. [applause] the president and i want every american to have access to
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quality affordable health insurance. we work in the congress and secretary price to design a better law that lowers the cost of health insurance about growing the size of government. secretary price one of the foremost x rates on health care in the entire country. he's only been on the job a couple weeks and made a huge difference and take an important stride towards limiting obama carries damage and replacing it with something better. the president and i are working with him and congressional leaders every day to finalize their plans come at a better plan for better health coverage in a better future built on a foundation of freedom and personal responsibility. that's the american solution to health insurance challenges. [applause] the president laid it out. the president laid out a few key details on tuesday giving guidance and direction to the congress will give america the freedom to buy health insurance best for you to an era of government mandate. we will let you buy health insurance across state lines the
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way you buy life insurance, the way you buy car insurance. we are going to make sure that americans with preexisting conditions have access to coverage they need. we will give states like here in ohio the freedom and flexibility they need to care for their most vulnerable in the medicaid program in the best way that works for the people of ohio and the people of every state. [applause] i talked to governor kasich this morning about her plans on medicaid and his ideas as part of an ongoing conversation. the truth is governor kasich knows what i knew in a state of indiana. every state is different. ohio, indiana, kentucky. it's time washington d.c. recognizes state solutions are a pathway forward for better health care coverage, especially for our most vulnerable.
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[applause] it's a small glimpse of the plane above will do despite some of the fear mongering you heard, you can rest assured as dr. price said we are going to have an orderly transition to a better health care system that finally puts the american people first. [applause] president trump's agenda doesn't stop there to kickstart the economy. we are going to pass the biggest tax reform in decades. i guarantee there is an annuity or who can make sense of america's tax code. me included. there's an old joke that says it's 10 times the size of the bible with none of the good news. penalizes success, makes it far too difficult for hard-working people and small businesses to achieve the american dream. too much money out of pocket, stifles job, growth, every other type of growth you need to get ahead. rest assured our plan is going to cut taxes across the board for working families, small
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businesses and family farms. we want you to be a little keep more of your hard-earned money. plain and simple. [applause] we are going to cut taxes across the board so businesses in ohio can compete with businesses around the world and create jobs right here in the buckeye state. [applause] there's a whole lot more i could talk about, but you've all been here for a while. i'm going to let you off easy. you heard from the president this week come you heard from dr. price and i'm truly grateful and humbled you, dear for me today. i just want to encourage you with a few words. i think we are demonstrating today that elections have consequences and that ideas matter. the american people chose a leader in president donald trump who has a clear vision for the future of this country. it is the vision of a stronger
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and safer america, an america that rebuilt our military to provide our soldiers, sailors, airmen, marines and coast guard with resources they need to defend our nation, protect our families and come home safely. [applause] the president who will put the safety and security of the amican people first take decisive action and immigration, ending illegal immigration and ensuring that people come into this country they don't represent a threat to the people of this country that we see no more the kind of moment that we saw in columbus, ohio not so long ago, the terrible attack in san bernardino and orlando, florida. president donald trump will continue to put the safety and security of the american people first and fight for your security every day. [applause]
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you heard the message today about prosperity, repealing and replacing obamacare, rolling back regulations and taxes and also i am proud to say, president trump has demonstrated again he's a man of his word by nominating a judge to fill the position on the supreme court of the late and great justice antonin scalia who will uphold the god-given liberties enshrined in the cost of tuition at the united states and judge neil gorsuch must be confirmed. [applause] 's largest encourage you to stay engaged, stay engaged with the process to let your voice be heard in every proper way. we've got an extraordinary moment on her hands and we've got a leader who will make that moment with courage and conviction, a willingness to fight the american people, to fight for american jobs.
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i truly do believe that with your help and with god's help and with president donald trump in the oval office every day, we will make america safe again. we will make america prosperous again and we will make america great again. thank you very much, ohio. thank you for being here today. god bless you. let's go get it done. neil: i got that wrong. i want to stick with this because i thought the vice president was going to outline his plan to give us a closer idea between he and don price about what they are endorsing from republican leaders on capitol hill that would call for a tax credit, and something to some of the more conservative members on the hill and the vice president might outline that administration position and i was wrong. he did not, so it's a political spee and apologize for that. normally would not exceed have stayed the entire time i'm not common but if it's a chance for him to show his support for maybe to the administration had
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what they were supporting. i hope will indulge me on that. we were told that was going to be announced or at least get an idea where it was coming from. so my bad. i apologize. of course it was a fine speech at that. in the meantime, i want to take your attention to what newport news, virginia for the president of the united states will be addressing the country. he will be on board the next generation carrier scheduled to be delivered to the navy. this is a multibillion dollar's carrier. the president says we need more of these types of ships, more military spending in general and the latest budget as you know is cool for $54 billion in additional funding brings the budget to buy the $600 billion. we will see what he outlines there. in the meantime, and general keith alexander. so much to get in with you. if you don't mind my veering off a little bit on the jeff sessions controversy and
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conversations with the russian ambassador. he birdied her democrats are saying you should go and leave. others say in the republican party may be recuse yourself from anything that involves anything having to do with this. what do you make of where it stands right now, political theater, something more? >> well, the facts are what we need. jumping to the conclusion that the attorney general did something wrong is a big job. my preference i worked eight years with mohler and eight months with jim called me. they are good people. they'll know if there's something wrong. let them look into at first before we go into a big set of hearings and other things. let's get the truth out there. my assessment from just listening to it, i don't think he intended to mislead or do anything wrong. i think he gave the answer to the question he thought he was
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getting. neil: the question he was getting us have you had any conversation with russian officials? he understood it to me and his role as a surrogate or the trump campaign and not a senior senator whose influence on foreign policy was sort of self-evident. we'll have to see. let me switch gears. back to an original intention was coming you've been very patient and that has to do with what the president want to do with military spending. a lot more of it. 54 billion. >> i think rebuilding the military -- you know, i was in the military and the 70s when it was a crisis and was there during the years in the 80s when we read that the military. but the military we took to desert storm. that's the military they carried us through the last 25 years. that was great. and now we cut it back and i think we've got to build back the right pieces. i have tremendous confidence in secretary mattis. he is a good person. he will take the money needed and come back with a great plan
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and helped get us the military that we need. so i do think it is appropriate. some of the missions they are going to get, for example, in cyberand in after terrorism around the world and rebuilding our ties are a key part of any strategy or country has. i think building that the military is a good thing and taking care of those who would give their life for this nation is the right to do. neil: what i wonder and i don't mean to be rude, we spend a lot on military. almost $600 billion. i'm thinking there's got to be room to extract savings. two quick phone calls on the air force one contract another fighter one jet contract that could save us billions. and thinking, if he could do that in a couple quick phone calls, he could easily find other stuff along the way and there would be no need to increase the military budget so that agreement the president wants in the whole kerfuffle
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could stop. >> you bring out a great point and i think what the president did there was great and we have to look at other programs. part of the issues that i thought when i was on active duty is how much goes into retirement funds and other things and how much goes into building our forests and manning forests and manning are for us. we've got to get that rate. that is one of the things the president and secretary mattis would take on. in the meantime, when you look at the actual monies available for building back the military and a weapon system, it's small. you are right on one thing. my experience when i was with the president, he will look for ways to cut costs across all systems and give back money. is a good thing for the military and a good thing for a shame. neil: if you or your person out of never brought this matter. general seriously committing an act very, very much ensured incredible service to this wonderful country. thank you.
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>> thank you, neil. neil: if you've seen what's going on with the outcome of the parent company of snapchat is soaring right now. it is at 51.5% or miss offering price per the question is can it last? the founders of this company, 26 years old. i have ties older than this kid. now worth billions of dollars. i am not jealous. i can't believe it! more after this.
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neil: all right. caterpillar is the reason why we're are seeing a down day in the dow or overwhelming reason why. accounting more than half of 53 points in the dow thus far today, because we're getting from ohio police confirming what we were getting from federal agents, caterpillar headquarters and facilities around the headquarters in illinois were searched. again this involved the irs, the federal deposit insurance corporation and the u.s. department of commerce. they were rifling through files, looking for something.
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how, all of them come together to do and coordinate what was essentially an executed search warrant that the company confirmed it is, saying that law enforcement is present in various peoria caterpillar facilities executing the search want and caterpillar is cooperating. we don't know cooperating with what? what are they looking for. various agencies from the commerce department, keep in mind the commerce department, does have an enforcement division here but what they're looking for from the big equipment-maker that does business around the globe and virtually every major country on earth, sometimes the issue are you doing business in sanctioned countries or those being punished, hard to say. we don't know. we pass that along. the stock is getting hit. it is affecting the dow. going the other way, stocks could be like this, snapchat debut enviable. question whether it continues. snap, the parent up close to nine bucks now, a little north
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of 51% today. that made pulte billionaires of their young funders. adam, this is really taken on a life of its own with belief in is next generation phenomenon. you've been talking to people out in times square who at least are aware of the name, right? >> right. people we've talked to do use snapchat and snapchat claims 158 million daily users. the problem for snapchat, you know, i've been playing with the spectacles and we've been showing them to people, not so spectacular. that seems to be the response. we ask people what do you think. it looks cool. when you ask would you spend $129 to use them. they say no. those guys need to figure out how to get past that but they have to get past that.
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neil: that might be a moot point, longer term concern day one of ipo doesn't mirror what it does later on. facebook had a stumbling debut in weeks that followed. it righted itself, ended up doing quite well. doing quite well today. too early to tell here. i know all variables and differences. what do you think? where do you think this is boeing? >> i think snapchat's biggest challenge will be how to expand their user base, right? let's face it, the majority of people using snapchat are 25 and under. they match their founder's demographic which is great but they have really, maaed that out. so user growth is slowing. the other thing snapchat has to think about, their costs are extremely high. they're more in the red than facebook and twitter was when they ipo'd. snap cac is on shaky ground. that will be interesting to sit back and watch. neil: when i look at this i look how a company is not trying to
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be a debacle or prevent what is happening to facebook or twitter. first year locking up the float, a quarter of a the float, shares outstanding so those people can't sell for a year. do you think that will mitigate get rich and dump what we see with a lot of offerings? >> i think snapchat will a pretty strong company. they will never be as big as facebook i definitely think they will surpass twitter in market share. neil: that is a low bar lately. frank, why hasn't twitter given it is the fact communication tool of choice for the president of the united states and so many others, why hasn't been able to leverage off of that or do better? >> i think it's a leadership thing. they have switched ceo many times since they founded. facebook always had strong founding as snapchat as well. neil: adam, you're talking about this as well. my teenage sons don't know what facebook even is.
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and if i came home now, they might be past snapchat for all i know. i note it is, younger and younger audience, when my teenage sons want to spending is they come to me, you know what i mean? >> right. neil: if there is big audience of young people like my sons, short of compliant parent, where is this money going to come from? >> well, that's the question. they lost what, $500 million last year. neil: right. >> so they haven't figured out how to turn this into a profitable business. evan spiegel and his partner, they're certainly geniuses. they can probably make this work. how they're going to do that we haven't figured out. they say now this is camera company. how do you get your teenage sons, neil, to follow them into their 20s, turn this into application they can do more than throwing up or vomiting a rainbow. this is what teenagers do with this thing. what do you do when you're 23,
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24? neil: i don't get that. that is a good point how you keep this going, to adam's point, i'm looking at history of cam can a companies. i mean, i don't know what they were trying to say there. eastman kodak comes to mind. polaroid comes to mind. maybe they were, nikon or, but man, oh, man, that is a graveyard filled with promising technology that didn't go anywhere. and it was like a johnny-one-note. if that is what they're saying they are, i don't know, what about you? >> what they're not saying is what they're really wanting to do be apple, right? that is kind of the goal. i think if you look how they talked about the company and how they positioned it, it is great, we have a crazy user base and a strong band, they're looking what i would imagine apple is model or polaroid or kodak, any of those companies because -- neil: apple is not a camera. but apple isn't a camera company
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or a phone company. it is sort of like a diversified technology fund if you think about it. >> that is exactly, that is exactly what i think snapchat wants to be, snap want to be. that is not what they're saying. neil: why are they saying this, i think, help me with this, frankie, i think that is death knell for them to be a camera company. especially if you're a camera company, eyeglass, speck at that at these things are stunning and beautiful, don't get me wrong but i'm not telling you will make a multibillion-dollar enterprise out of that, right. >> i think they have to adapt or die. they will have to diversify. they will have to experiment. obviously, they're running advertisement and doing content media on their snapchat app. so they're just throwing a huge blanket to cover everything, i think. neil: one of the things, and i like what you were saying, you could diversify and leverage off of that.
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adam, one of the things with facebook, they will be live streaming event, et cetera, seen a variety of hosting to do the same, is that going to be the moneymaker down the road for them? that they're ubiquitous? like what they are saying adam, everything. >> absolutely. >> if they beat facebook to it, then yes. neil: go ahead, adam, i'm sorry. >> here's the deal. these glasses only record 10 seconds. if snapchat can beat facebook to the device and small and records all the time an shows your life in real time to your friend and stream live, they beat facebook. whoever does that first makes a lot of money. >> i don't think they will beat facebook. i think facebook will be in its own category. facebook has done what snapchat will try to do, expand the user base, to grow what they want. they will have to get beyond the 25 and younger audience. when they say camera company, that means very different to
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millenials than this generation. this is not your grandpa's camera company. camera picture content. these have totally different definitions now. that is the innovative way they are looking to go. neil: i know you are young, but inadvertently referring to me as grandpa. >> i wasn't even close. neil: that is your final visit on the show as grandpa waves good-bye. i'm kidding. thank you you twice, all of you. an original investor all of this, a lot smarter than i, can give us mystery we're missing. jeremy lowe, his company was one of the first to jump into snapchat. jeremy, good to have you, this camera thing, when they said they were camera company, words to that effect, what did they mean by that? you have to clarify this for me? >> what snapchat means they're a camera company, they're focused on image sensor on the phone and
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can be used to do more than take pictures. for instance, historically people took pictures to remember things. snapchat uses pictures to communicate. that is a different use case. neil: so when they set the camera, referring to do more with your pictures that are shot? it's a way to communicate, right? >> yeah, communication is a big piece of it. expressing yourself to have people have authenticity and motion and honesty and spontaneity that is hotter under a lot of forms of social media where you have the pressure to put the highlight real of your life. neil: that might be the case. i also know, this worries me about my oldest teenage son, the cool thing is, whatever i send it disappears. anything his girlfriend and him instantly disappears. so, i'm not sharpest tool in the shed, jeremy. i immediately said why is that such a good thing? is that another draw here?
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because that technology exists to varying degrees with others, right? is there something i'm missing? >> well, if you think about how people have always communicated with each other, with their close friend, the default has been that when you talk to somebody, face-to-face, when you have a conversation the record of that conversation disappears. you would be kind of horrified if afterward you had a conversation with your friend you found out they taped it. that would feel like a violation of trust. today if you think of most communications digital means, text-messaging, facebook, instagram, facebook everything else, the default is that stays forever. making default the photos go away, messages go away, you get that spontaneity and honesty and emotion back. that is the base -- neil: what about instagram? can you do that with instagram? what is the varying difference here? >> the key question is what is the he default.
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instagram keeps things by default. if you choose things you can take things down. with snapchat everything goes away by default and if you can choose add it to memory, the whole technology sound nixonian, everybody is hiding stuff they don't want to share. allay me of that concern. >> i think you might be in your own views and biases on top of it. neil: that is exactly what i'm doing. if you have a problem with that, young man, but go ahead. >> if you think about how people are using the products today, they find it is incredibly liberating way to have very full, frank, and honest conversations with their closest friends. that to me is feels like a good thing. neil: all right, you're far wiser man than i am. now i'm really worried about my sons and what they're doing. jeremy lew. thank you very much for being here. >> thanks for having me. neil: these kids today. in my day we had a phone, a college dorm and we'd all wait
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in line for the phone to ring. cavuto, you got a phone call! more after this.
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>> our objective is to pass tax reform by the august recess and i think that is a very aggressive timetable but realistic and something that the president and i are very committed to doing. neil: so by august voted, done aged. >> and signed. neil: all right. the treasury secretary better hope so. that is tall order given all the division on the health care law. republicans remember, even with package passed lost 26 seats under term of ronald reagan. timing is important.
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doug wead presidential historian. i was reading coming back from washington. game of thorns, gets you really behind the scenes. he had access to everybody. although i think some. folks he talked to will never ever chat with him again. good to have you my friend. >> and they may lose their jobs. neil: they may lose their jobs. you all know who it is. i do want to get into high expectations here because they certainly worked against hillary clinton. >> they did. neil: in this case they could be working against this administration, setting up a bar getting tax cuts done by august, sign, sealed, delivered. what do you think of that. >> they to move fast historically. the party out of power almost picks up seats. politicians come along i will beat it. reagan couldn't beat it. obama couldn't beat it. neil: if they lose this august deadline thing and don't get them done this year they will have horrible midterm election. >> i agree with you.
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then there is the media. the media will say we lost the last election. we're not going to lose this election. neil: mentioned media, roll it plays and leans left. most journalists are liberal-leaning. they try not to they say espouse that and show that but they do. you got inside of this. everyone thought hillary clinton would win. only issue election night what time she would come out. how did you get the other stuff about the craziness going on in her mp thaght? >> yeah. neil: breaking glass, the shouting. was all that true? >> it was true. i start, first i started hearing the stories, i'm checking sources. some are secret service. they're different sources. then i went to people who voted for hillary, who loved hillary, who worked for her and bill over a period of decades. neil: they were seeing it all kind of kind of unravel. >> this is possible like a light
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switch both ways and she is suddenly upset and suddenly come. neil: she didn't come out. >> she was deeply upset. she was hurt. she was distushed. she was brokenned. there were tears, shouting, shattering glass. former president bill clinton was totally mute. didn't open his mouth. just totally quiet and respectful. looking back on it, that night you remember ed rendell came on television, people said how she is doing? he said she is angry. i didn't notice that and went back reviewed some of the tapes. neil: neil: who was she angry at? >> she was aingely because of what happened. she outspent him eight to one, count soft money. outstaffed him five to one. 960,000 people on the ground with ground game. 249 newspapers endorse her against 19 of his. he had only one thing, which was a billion dollars worth of earned media. neil: long before this, this great book, it will be a best-seller, i don't care if you're left or right on this,
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you had said there were passion in his crowds, none at hers. i remember you and i talking about that month before the campaign of the election. and that came back to hurt her. reading a cue card, same old lines, done the same jokes, it got old. >> you could see it in the numbers. and, and, donald trump stayed on message. when i would talk to people -- neil: he was topical. he was like a stand-up comedian. >> all the oxygen out of air. i told people in trump tower he is off message. they said no, he is off message. he is not off message. the first one is make america great again. then i'm not a politician. so he was off message he was on message. neil: even when that certain tape came out. >> i don't think they expected that. neil: many in the party, including speaker ryan, his own vice president they were talk getting concerned but he survived. >> yeah. neil: why in the end did he? >> it was combination of him and hillary. you look what happened.
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it was staggering. bill clinton got so mad, seen in the book, game of thorns, throwing telephone off the roof. you are losing catholic vote, what are you doing. when the emails came off co-opting the catholic church, bill clinton saying get out in front of that. deny it. we don't want to do that. but they left it alone. neil: it is amazing ticktock what went wrong. from the perspective historian, not some crazy cockamamie yellow journalist. i urge you to read it. definitive stand. many books to come. this kicks them off. it couldn't be more telling, after this.
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. neil: we are getting video,
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this is earlier today, with fbi agents and others, or i should say internal revenue service agents and others hitting the headquarters of caterpillar, big international equipment maker in peoria, illinois. don't know what they're looking for. trish regan, it is weird. trish: it is weird, weird indeed. we're going to continue watching that story for all of you, thank you, neil. also breaking this hour, president trump speaking aboard the u.s.s. gerald ford minutes from now, he wants to increase military spending by 54 billion dollars. what a better place to say it thannoon aircraft carrier. welcome everyone, to "the intelligence report". as we await the president, we're following a big story, attorney general jeff sessions under fire over reports he had contacts with russian officials on two occasions d

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